Everclear and ZERO Network announced their shutdown on May 22, joining the 2026 DeFi protocol shutdown wave. Everclear’s monthly trading volume once reached $500 million, but it failed to turn that into sustainable revenue; ZERO Network users must complete the withdrawal of funds by July 31, otherwise block production will be halted.
Everclear’s Shutdown Reason: Ran Out of Funds After a B2B2C Transition
Everclear is a protocol built on a cross-chain fund rebalancing solver model. Its monthly trading volume once reached $500 million, but the team said that because users were too focused on price, it was unable to establish a sustainable revenue structure. Over the past six months, Everclear transitioned to a business-to-business-to-consumer (B2B2C) model and signed contracts with multiple industry partners, but it underestimated the partners’ onboarding timeline, and the funds ran out before the collaboration officially went live. In an announcement on the X platform, Everclear mentioned that if there were remaining funds after settling all debts, it was considering repurchasing existing tokens within a range of $50k to $200k, but it clearly stated that “the repurchase plan is not yet determined,” and promised to publish all details and mechanisms once confirmed.
ZERO Network: Bridge In Disabled, Bridge Out Open Until July 31
ZERO Network is an Ethereum Layer 2 network under Zerion, and its closure is the result of Zerion’s strategy adjustment, focusing on wallet and API services. The function for bridging funds into ZERO has been disabled immediately; the function for bridging funds out remains open until July 31, 2026, after which ZERO Network’s block production will stop. The ZERO team said that the project’s talents and learning outcomes will be投入 into building “the best wallet and data API experience covering all blockchains.”
2026 DeFi Protocol Shutdown List
This week’s announced shutdown protocols also include: Syndicate Labs (an Ethereum infrastructure provider, operated for five years, shut down on May 21, with the reason being that fundamental changes occurred in the integrated market) and Fantasy.top (a Crypto card game, operated for two years, planned to close at the end of June). All projects pointed to the unfavorable market environment as a common backdrop, but the specific reasons differ.
Frequently Asked Questions
Has Everclear’s token repurchase plan been finalized?
As of the time of this report, the repurchase plan has not been finalized. Everclear said that if there are remaining funds after settling all debts, it is considering repurchasing existing tokens within a range of $50k to $200k, and it committed to publishing all details and mechanisms before final confirmation.
By what time do ZERO Network users need to complete fund withdrawals?
Users must withdraw all funds from ZERO Network’s bridge by July 31, 2026. The function for bridging funds into the network has been disabled immediately, and after the deadline, block production will stop. Users’ assets are safe, but Zerion did not explain the asset handling plan after the deadline.
Everclear’s monthly trading volume reached $500 million—why can’t it sustain operations?
Everclear pointed out that users’ excessive focus on price prevented the protocol from establishing sufficient commercial depth, so monthly trading volume could not be converted into sustainable revenue. After the B2B2C transition, it signed multiple partners, but it underestimated the onboarding timeline, and ultimately the funds ran out before the partnerships went live.
